Boeing HQ
Boeing whistleblowers were featured on the CBS show 60 Minutes yesterday, focusing on non-confirming parts or parts that should be scrapped. Their allegations are quite serious, indicating that many of these parts are likely flying on aircraft today, given competition for parts and chaos at the company’s final assembly facilities. One whistleblower indicated that non-conforming parts may not fail immediately, but compared the situation to Russian roulette as aircraft age. Given that MAX production began only 7 years ago, the time frame in which failures could be expected is growing nearer.
The unanswered question is what happens to parts that go missing during the production process. Apparently, there are no records of failed parts being destroyed, despite serial numbers and cradle to grave tracking being commonplace in the industry. As the FAA administrator indicated last week, from a safety standpoint, Boeing has failed.
Layoffs are continuing, with 396 layoffs coming in the State of Washington in another round of layoffs. WARN notices to state employment regulators are popping up almost daily as additional staff cuts are implemented.
Boeing has no cancelled a $1M sensor rollout in its facilities due to fears of employee surveillance. With systems already installed at several buildings, a leak was exposed by the Seattle Times late last week highlighting how a system to optimize HVAC could also be used to spy on employees. With a culture of mistrust that pervades employer-employee relations at the company from a lack of transparency, this situation underscores the need for cultural change.
On the competitive front, Air India has ordered 100 more aircraft from Airbus, adding to the massive Air India orders with both Airbus and Boeing announced in 2023. With initial deliveries from the earlier order just beginning to be delivered, the additional order with Airbus redistributes the prior orders by model in addition to adding new aircraft. The question is whether an additional order with Boeing is forthcoming, or if Boeing’s certification and delivery delays are costing the company potential orders with key customers. Time will tell, but today Airbus appears to be better positioned on the subcontinent.
Links to key news items follow:
- Boeing failing to keep track of non-conforming parts, whistleblower says: “It’s like Russian roulette” – CBS News
- Boeing whistleblower says “thousands” of faulty or non-conforming parts go missing during plane production – CBS News
- Boeing to lay off nearly 400 people in Washington State, WARN notice shows – Yahoo
- Boeing cancels $1M sensor rollout over surveillance fears – AV magazine
- Air India places order to purchase 100 more Airbus aircraft – Telegraph India
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